Nazara Technologies has officially completed its acquisition of Smaaash Entertainment for ₹126 crore. This move marks a major milestone for both companies and signals a new era for the country’s gaming and entertainment industry.
Smaaash: From Insolvency to a New Beginning
Smaaash is known for its immersive sports and entertainment centres across India. The brand offers a unique blend of virtual reality, sports simulation, bowling, go-karting, arcade games, and dining experiences. Despite its popularity, Smaaash faced financial troubles, with debts exceeding ₹450 crore, leading to insolvency proceedings.
The Acquisition Deal: Key Highlights
- Nazara acquired Smaaash through a resolution plan approved by the National Company Law Tribunal.
- The total investment stands at ₹126 crore. This includes ₹10 crore in equity for 100% ownership and an unsecured loan of ₹116 crore to settle Smaaash’s creditor dues.
- Smaaash is now a wholly owned subsidiary of Nazara Technologies.
- The acquisition was completed in June 2025.
Why Did Nazara Buy Smaaash?
Nazara’s acquisition aligns with its strategy to expand beyond digital gaming into physical entertainment venues. With online gaming growth slowing and operating costs rising, Nazara is betting on experiential gaming to diversify its portfolio and strengthen its market position.
Smaaash’s Performance and Offerings
- Smaaash reported ₹112.34 crore in revenue for FY24, a slight dip from the previous year.
- The company operates across 11 major Indian cities, offering activities like bowling, cricket simulators, go-karting, and arcade games.
- Smaaash’s assets include gaming and VR equipment from 13 centres, now transferred to Nazara.
Financial Impact on Nazara
- Nazara’s profits have faced pressure due to heavy marketing spends, especially in its real money gaming verticals.
- The company reported a 53% quarter-on-quarter drop in consolidated profit to ₹4.1 crore for Q4 FY25, and a 32% year-on-year decline in annual profit to ₹51 crore for FY25. However, operating revenue grew by 43% YoY to ₹1,623.9 crore.
- The acquisition is expected to help Nazara maintain momentum and balance short-term profit hits from other business segments.
What’s Next for Indian Gaming?
With Smaaash under its belt, Nazara is set to offer a powerful mix of digital and physical gaming experiences. This move could inspire more innovation and investment in India’s entertainment sector, benefitting both gamers and families looking for immersive outings.